The 22-year-old was linked with a number of clubs throughout Europe, including West Ham, Fulham, Norwich, Tottenham and Reading.
French side Sochaux and Italian side Genoa have also been linked with the Azerbaijan-born winger.
Hamad will officially join Hoffenheim in January.
“Hamad is a young, ambitious and still developing player who has shown his qualities in Sweden,” said Hoffenheim sports director Alexander Rosen.
What is your opinion? Feel free to discuss the article under. You have to comment by using your Facebook profile. Be fair and have respect for other people and opinions!
Since Guus Hiddink arrived at the helm, Chelsea have improved considerably after a tricky start to the campaign.
Newcastle United are staring down the barrel of relegation to the Championship for the second time in the past eight years.